Crude Oil Price Forecast – Crude Oil Continues to See Support

WTI Crude Oil Technical Analysis

The West Texas Intermediate crude oil market has initially pulled back just a bit overnight, but it looks as if it is well supported between the $80 level underneath and the $81 level, which is where we find ourselves near the open of open CRI trading.

With that being said, I think the market is likely to continue to see an overall consolidation and therefore I do think we break higher. Whether or not it ends up being a massive move higher is completely open to debate. But right now, I think we are in the midst of forming some type of double bottom. And of course, you have to pay close attention to the $80 level because it has proven itself to be important. And of course, it’s a large, round, psychologically significant figure.

Brent Crude Oil Technical Analysis

The Brent market looks very similar with the $84 level offering support, and it has a lot of the same factors. The first thing, of course, is the cyclicality of the market being very strong in summer most of the time. So that’s something that you have to pay attention to.

But we also have a lot of geopolitical tensions that could flare up. I understand that there are some concerns about refineries in Russia being targeted, and that does influence some of the supply of crude oil around the world. All things being equal, I do think that this is a market that continues to find buyers on dips, but how far have we gone to the upside? I think that remains to be seen in the short term. I think this is just a market that is very rangebound and looks likely to remain at least somewhat elevated through the rest of the summer.

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